The government and people of Taiwan understand that TSMC is a major reason mainland China hasn't bulldozed their tiny island yet. It's their ace in the hole. They have a monopoly on arguably the most important technology in the world right now, and the US and EU will protect them as long as they hold that monopoly. There's no way they'd actually physically offshore that golden goose. It's a brilliant move by Taiwan, and I highly doubt they'd voluntarily give it up.